Lendlease Annual Report 2021

Our refreshed strategy focuses on expanding and upweighting those parts of the Group that have the greatest potential to drive securityholder value. Employ our placemaking expertise and integrated business model in global gateway cities to deliver urbanisation projects and investments that generate social, environmental and economic value. Disciplined origination, accelerated development The trust placed in us by our customers and partners to evolve the next generation of urban precincts is reflected in our origination success in recent years across targeted international gateway cities. The urbanisation platform has grown substantially to comprise a portfolio of 23 major projects across 10 gateway cities, and our total development pipeline now stands at more than $110 billion. The Group is targeting more than $8 billion of annual completions over the medium term – near double the historical completion rate. The growth in the development pipeline, investment in capability to execute at scale and the resilience of the cities in which we have a presence, provides us with confidence in achieving this outcome. However, while the impacts of the pandemic will prevent this in the short term, we expect the target to be reached by FY24. Global mindset An enterprise wide approach will be critical to achieving safe, sustainable and profitable outcomes as production accelerates. Our global operating model, supported by products and platforms, provides a framework for implementing best practice consistently, while empowering our teams to lead and innovate. We are investing with the longer term in mind by creating digital capabilities to support our strategic objectives. Our partnership approach has driven significant growth in the Investments platform. Future growth will be Strategic priorities Leverage competitive edge Accelerate development Scale investments Best practice construction delivery Leadership in sustainability underpinned by the more than $50 billion of investment grade product that we expect to create from the development pipeline. In addition, we have the appetite and global capability to launch new products alongside our investment partners. Increased focus The Group’s human and financial capital is increasingly being directed towards leveraging the Group’s capabilities across urbanisation projects and the Investments platform. Strategic divestments have supported the Group in redirecting these resources. We have exited the Engineering, Services1 and US Telecommunications businesses. Capital allocation to the Retirement Living and Communities businesses has also been reduced. Resilient and flexible Our strategy has been designed to be resilient to an evolving market environment. The business model, supported by land management structures across most projects, has the agility to ride out market cycles. We understand cities will need to become more affordable, inclusive and sustainable with a greater focus on transport links, security and workplace flexibility. Our placemaking skills are already adapting to these challenges and the associated changes in consumer, corporate and government behaviour. Our refreshed strategy focuses on expanding and upweighting our businesses that have the greatest potential to drive securityholder value. Placemaking is in our DNA. Place is about people's connection to a physical environment and the experiences that trigger both an emotional attachment and a sense of belonging. The unique places we create are carefully designed and curated to meet the needs and aspirations of the people who live, learn, work and play there. The cornerstone of the Group’s strategy is to create the best urban precincts in key global gateway cities. Our point of difference emanates from our proven expertise in delivering major urbanisation projects through placemaking and our integrated business model, backed by financial strength. This is our competitive edge. Purpose driven Our strategy is underpinned by an ethos that long term value creation is maximised by achieving social, environmental and economic outcomes. This involves collaborating with customers, investment partners, governments and the communities within which we operate. A key differentiator from other industry players is our end to end capability across all aspects of real estate: from concept and planning to design and delivery through to funding and investment management. A proven track record of more than two decades of creating large scale mixed use urban precincts has enabled the Group to deepen its expertise and sophistication to become in our view, the preeminent urbanisation specialist. London: International Quarter London Pavilion Artist’s impression San Francisco: Google, San Francisco Bay Area Artist's impression Strategy 1. Conditional sales agreement signed on 21 July 2021. 17 A sense of place 16 Lendlease Annual Report 2021 Our Business